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Summary
The Minister of Industry, Trade, and Investment, Dr. Jumoke Oduwole, has directed the Financial Reporting Council (FRC) to apply an interim cap of ₦25 million on annual dues payable by private sector Public Interest Entities (PIEs), aligning them with publicly listed companies.
The Minister of Industry, Trade, and Investment, Dr. Jumoke Oduwole, has directed the Financial Reporting Council (FRC) to apply an interim cap of ₦25 million on annual dues payable by private sector Public Interest Entities (PIEs).
This directive brings private sector PIEs in line with publicly listed companies, which already benefit from a ₦25 million ceiling under the FRC (Amendment) Act 2023. The Act had previously required PIEs to remit dues ranging from 0.02% to 0.05% of their turnover, without a specified upper limit.
Several stakeholders had raised concerns over the financial implications of the levy, warning that the lack of a cap could lead to steep increases in compliance costs and negatively impact investor confidence.
In response to these concerns, the Ministry convened a formal public consultation on March 26, 2025, to assess the potential economic and regulatory consequences of the levy. Two key actions were announced following the consultation: a 60-day administrative pause on implementation and the establishment of a Technical Working Group to conduct further analysis.
The working group submitted its report on April 17, 2025. Minister Oduwole later briefed the President on the findings and advised that the administrative pause be maintained pending a broader legislative review.
According to the Ministry, the interim cap is intended to create a stable compliance environment for affected companies in the short term while providing space to consider long-term reforms. It added that the Ministry of Justice would determine whether legislative amendments are required to formalise a new approach to dues collection.
Dr. Oduwole said the decision reflects the Ministry’s commitment to transparency, investor confidence, and regulatory fairness.
